(1) In any resolution of the board authorizing or relating to the issuance of any bonds or notes, the authority, in order to secure the payment of such bonds or notes and in addition to its other powers, has the power by provisions therein which shall constitute covenants by the authority and contracts with the holders of such bonds or notes:
To pledge all or any part of its rents, fees, revenues, or receipts to which its right thenexists or may thereafter come into existence, and the moneys derived therefrom, and the proceeds of any bonds or notes;
To pledge any lease or other agreement or the rents or other revenues thereunder andthe proceeds thereof;
To covenant against pledging all or any part of its rents, fees, revenues, or receipts, orits leases or agreements or rents or other revenues thereunder, or the proceeds thereof; or against mortgaging all or any part of its real or personal property then owned or thereafter acquired; or against permitting or suffering any lien on any of the foregoing;
To covenant with respect to limitations on any right to sell, lease, or otherwise dispose of any project or any part thereof or any property of any kind;
To covenant as to any bonds and notes to be issued and the limitations thereon andthe terms and conditions thereof and as to the custody, application, investment, and disposition of the proceeds thereof;
To covenant as to the issuance of additional bonds or notes or as to limitations on theissuance of additional bonds or notes and on the incurring of other debts by it;
To covenant as to the payment of the principal of or interest on the bonds or notes, orany other obligations, as to the courses and methods of such payment, as to the rank or priority of any such bonds, notes, or obligations with respect to any lien or security, or as to the acceleration of the maturity of any such bonds, notes, or obligations;
To provide for the replacement of lost, stolen, destroyed, or mutilated bonds or notes;
To covenant against extending the time for the payment of bonds or notes or interestthereon;
To covenant as to the redemption of bonds or notes and privileges of exchange thereof for other bonds or notes of the authority;
To covenant as to the rates to be established and charged and the amount to be raisedeach year or other period of time by such charges and as to the use and disposition to be made thereof;
To covenant to create or authorize the creation of special funds or moneys to be heldin pledge or otherwise for construction, operating expenses, payment or redemption of bonds or notes, reserves, or other purposes and as to the use, investment, and disposition of the moneys held in such funds;
To establish the procedure, if any, by which the terms of any contract or covenantwith or for the benefit of the holders of bonds or notes may be amended or abrogated, the amount of bonds or notes the holders of which must consent thereto, and the manner in which such consent may be given;
To covenant as to the construction, improvement, operation, or maintenance of itsreal and personal property, the replacement thereof, the insurance to be carried thereon, and the use and disposition of insurance moneys;
To provide for the release of property, leases, or other agreements;
To provide for the rights and liabilities and the powers and duties arising upon thebreach of any covenant, condition, or obligation and to prescribe the events of default and the terms and conditions upon which any or all of the bonds, notes, or other obligations of the authority shall become or may be declared due and payable before maturity and the terms and conditions upon which any such declaration and its consequences may be waived;
To vest in a trustee or trustees within or without the state such property, rights, powers, and duties in trust as the authority may determine, including the right to foreclose any mortgage, and to limit the rights, duties, and powers of such trustee;
To execute all bills of sale, conveyances, deeds of trust, and other instruments necessary or convenient in the exercise of its powers or in the performance of its covenants or duties;
To pay the costs or expenses incident to the enforcement of such bonds or notes or ofthe provisions of such resolution or of any covenant or agreement of the authority with the holders of its bonds or notes;
To limit the powers of the authority to construct, acquire, or operate any structures,facilities, or properties which may compete or tend to compete with the project;
To limit the rights of the holders of any bonds or notes to enforce any pledge orcovenant securing bonds or notes; and
To make covenants other than those expressly authorized in this section, of like ordifferent character, and to make such covenants to do or refrain from doing such acts and things as may be necessary, or convenient and desirable, in order to better secure bonds or notes or which, in the absolute discretion of the authority, will tend to make bonds or notes more marketable, notwithstanding that such covenants, acts, or things may not be enumerated in this section.
Source: L. 81: Entire article added, p. 1805, § 1, effective July 1.